Keeping Scam Contractors at bay

Now is the time for homeowners and licensed contractors to be on guard for the scam contractors that will try to prey on the fire victims. Both the homeowners and the legitimate contractors lose when these people surface.

Homeowners often do not deal with contractors and do not know the laws that protect them, and get duped. Most contractors are in business for the long haul and cannot afford to take advantage of the unsuspecting homeowner, although it does happen, it does not happen very often. It should be the priority of the homeowners to ensure that the "contractor" they are dealing with really is who they say they are.

The initial contact is usually made by the alleged contractor, not the homeowner. When a homeowner calls a contractor out of the phone book, then chances are very good that this actually the contractor they expected to contact (we have had cases in the past where a scam contractor actually talked the phone company into re-directing the phone numbers in the yellow pages to his offices, intercepting service calls. This is unusual).

Because the situation is ripe for a scam, both homeowners and contractors should be careful. Homeowners should demand that they see proof of insurance, workers compensation insurance, bonding, even the contractor's license if necessary. Contractors should have all the proper documents at the ready, and be prepared to show proof. Nobody should feel offended or uncomfortable asking for, or being asked for the proper documentation.

Once a deal is struck, the contractors have the obligation to follow the rules regarding down payments, progress payments and waivers and releases. This protects both the contractor and the homeowner. If all goes well, everybody wins.